SINGAPORE (ICIS)--Some sellers of expandable polystyrene (EPS) in Asia withdrew their offers midweek, as feedstock styrene monomer (SM) prices continued to surge.
In the first half of the week, EPS prices were quoted at $1,520-1,540/tonne CFR (cost and freight) Asia, with some deals heard concluded.
Spot SM prices rose above $1,350/tonne CFR China this week, according to ICIS data.
“My supplier has withdrawn offers due to rising SM,” a southeast Asia-based distributor said.
EPS resins are used for packaging and insulation in buildings and roads.
While most suppliers wanted to increase resin prices to maintain a workable margin, a seasonal demand lull could derail any move to hike prices.
“Buying interest is flat as the year-end lull is here,” said a producer in Taiwan.
Nonetheless, market players expect producers to increase offers, while buyers continued to buy on a need-to basis.
Picture: A package containing a stapler. Expandable polystyrene (EPS) resins are used for packaging and insulation in buildings and roads. (Source: Monkey Business/REX/Shutterstock)